Johnson & Johnson ($JNJ) fell short Monday in its final effort to escape a Risperdal marketing penalty in South Carolina. The U.S. Supreme Court declined to take up J&J's last appeal in the case, putting the company on the hook for a $124 million penalty. J&J had cited the Eighth Amendment in arguing against the penalty, saying it qualified as an "excessive fine." As Reuters notes, the U.S. Chamber of Commerce had backed the drugmaker in seeking Supreme Court review.
Former Senator John Edwards Vying for Top VW Litigation Spot
Among the more than 140 plaintiffs' lawyers competing to lead private litigation against Volkswagen over its emissions cheating scandal is former U.S. Senator and Democratic Vice-Presidential candidate John Edwards. Edwards, who was a trial lawyer in North Carolina before his political career was felled by a sex scandal, sent a letter to U.S. District Judge Charles Breyer of San Francisco last Friday, asking to be appointed to the powerful plaintiffs' steering committee.
Jury Told GM Concealed Ignition Defect for a Decade
General Motors Co should pay for concealing an ignition switch defect from its customers that has been linked to nearly 400 injuries and deaths, a lawyer for an Oklahoma man injured in a car crash told a Manhattan jury. "This case is not just about an accident that occurred in Oklahoma in 2014," said Robert Hilliard, who is representing plaintiff Robert Scheuer. "This is about the conduct of a company over a period of time that spanned more than a decade."
GM Ignition Defect Plaintiff Under Scrutiny
Plaintiff Robert Scheuer is either the victim of a heartless General Motors cover-up of faulty ignition switches or a man trying to blame GM for injuries he suffered long before his 2014 car crash in Oklahoma, attorneys argued Tuesday. These competing portrayals were unveiled in Southern District Judge Jesse Furman‘s courtroom during opening arguments in the first of six bellwether trials that are expected to set the value, if any, for more than 300 cases consolidated in Manhattan. “Where else can a mailman from Oklahoma go toe-to-toe with a company like General Motors and have his day in court?” Scheuer lawyer Robert Hilliard asked the jury. He told jurors that, in four weeks’ time, they had the opportunity to deliver a “verdict of national significance.”
Firm Accused of Selling Sham Mortgage Services
A financial firm took thousands of dollars from customers for mortgage relief services but didn't actually provide the promised help, Florida's attorney general claims in court. The office of Florida Attorney General Pam Bondi says in a lawsuit filed last week in Duval County that Heathrow Financial Corp. and owner David Golloher even caused some people to lose their homes. Heathrow advertises mortgage assistance relief services such as document reviews, mortgage loan modifications, and foreclosure defense services, according to the Jan. 6 lawsuit.
Justices Rule Settlement Offer Can’t Moot Consumer Lawsuits
The U.S. Supreme Court ruled Wednesday that companies can't cut off sweeping class action claims by making an offer of full relief to individual plaintiffs, siding with a consumer who despite such an offer refused to drop his Telephone Consumer Protection Act suit against a U.S. Navy advertising partner. "We hold today ... that an unaccepted settlement offer has no force. Like other unaccepted contract offers, it creates no lasting right or obligation," says the justices' opinion in a TCPA suit against a Navy ad partner....
Purdue Pharma Settles KY OxyContin Misrepresentation Claim
The state's lawsuit alleged that OxyContin manufacturer Purdue Pharma misled consumers about the drug's addictive potential. "Drug companies that mislead consumers about the nature of their drugs must be held accountable," Attorney General Jack Conway said in a press release. "Purdue lit a fire of addiction with OxyContin that spread across this state, and Kentucky is still reeling from its effects."
Settlement Reached in Doctor Kickback Scheme
A San Diego-based medical diagnostics laboratory paid over $4 million to settle claims it gave kickbacks to physicians who referred patients to the company for genetic testing. Pathway Genomics Corporation paid $4,036,622.74 in a civil settlement of claims it paid doctors in exchange for patient referrals for their genetic testing kits that analyze the risks for certain genetic cancers and diseases and test the responsiveness of certain medications. The tests are performed using a saliva sample that is typically collected by a patient's doctor and mailed to Pathway's lab for testing. Federal investigators found Pathway violated the False Claims Act by offering physicians and medical groups reimbursements of up to $20 for each saliva kit they submitted for genetic testing. Individual physicians cashed in as much as $13,534 in kickbacks from Pathway and most had not ordered the costly genetic tests prior to enrolling in the reimbursement program, according to U.S. Attorney Laura Duffy.
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